XRP Hammered, Slides 30% As Ripple Bears Take Charge Eyeing $0.40

XRP wasn’t spared the sell-off, looking at the formation in the daily chart. Even though buyers were optimistic, expecting buyers to flow back strongly and conquer $0.66, this didn’t materialize. Instead, prices have corrected sharply, forcing the coin below $0.55 and $0.50 within days. If sellers double down this week, the breakout that lift the coin above $0.62 will be deemed faked. In that case, nothing will prevent XRP from slowly winding down towards $0.40.

The technical candlestick arrangement still favors bulls, although they are in a dicey position. Immediate resistance is $0.50, and later, $0.55. At spot rates, XRP is down 30% from July highs, pushing weekly losses to over 25%. The drop also means the average trading volume rose to over $2.8 billion.

XRP and Ripple traders are closely watching the following news:

• A lawyer supporting Ripple and XRP in the ongoing case versus the United States SEC is convinced a Kamala win won’t be good for crypto. Most industry leaders back Trump to win, saying that Bitcoin and other altcoins will thrive under his administration.
• Even as Ripple prepares to tokenize United States treasuries on the XRP Ledger, on-chain data shows that transaction activity is plummeting. In Q2 2024, transaction volume crashed by over 65% as posting on the ledger became even more expensive.

XRP Price Analysis

As it is, XRP is falling, crashing bulls’ expectations.

Aggressive traders can align with the developing trend, shorting on every attempt higher, targeting $0.40.

This outlook will be valid, especially if prices fail to reverse today’s losses and conquer $0.52.

The zone between $0.44 and $0.50 will be critical as it is from the Fibonacci retracement.

Any expected spike lifting XRP/USD above $0.62 will signal the resumption of the July 14 to 21 Bull Run.

In that case, the coin might fly to as high as $0.66 and $0.74 in a buy trend continuation.

If not, should sellers press on, XRP may fall to $0.40, reversing all July 2024 gains.